PART D--WILLIAM D. FORD FEDERAL DIRECT LOAN PROGRAM

SEC. 454. FUNDS FOR ADMINISTRATIVE EXPENSES

`(1) IN GENERAL- Each fiscal year there shall be available to the Secretary, from funds not otherwise appropriated, funds to be obligated for--

`(A) administrative costs under this part and part B, including the costs of the direct student loan programs under this part; and

`(B) account maintenance fees payable to guaranty agencies under part B and calculated in accordance with subsections (b) and (c),

not to exceed (from such funds not otherwise appropriated) $617,000,000 in fiscal year 1999, $735,000,000 in fiscal year 2000, $770,000,000 in fiscal year 2001, $780,000,000 in fiscal year 2002, and $795,000,000 in fiscal year 2003.

`(1) for fiscal years 1999 and 2000, on the basis of 0.12 percent of the original principal amount of outstanding loans on which insurance was issued under part B; and

`(2) for fiscal years 2001, 2002, and 2003, on the basis of 0.10 percent of the original principal amount of outstanding loans on which insurance was issued under part B.';

(3) by striking subsection (d);

(4) by redesignating subsection (c) as subsection (d); and

(5) by inserting after subsection (b) the following:

`(c) SPECIAL RULES-

`(1) FEE CAP- The total amount of account maintenance fees payable under this section--

`(A) for fiscal year 1999, shall not exceed $177,000,000;

`(B) for fiscal year 2000, shall not exceed $180,000,000;

`(C) for fiscal year 2001, shall not exceed $170,000,000;

`(D) for fiscal year 2002, shall not exceed $180,000,000; and

`(E) for fiscal year 2003, shall not exceed $195,000,000.

`(2) INSUFFICIENT FUNDING-

`(A) IN GENERAL- If the amounts set forth in paragraph (1) are insufficient to pay the account maintenance fees payable to guaranty agencies pursuant to subsection (b) for a fiscal year, the Secretary shall pay the insufficiency by requiring guaranty agencies to transfer funds from the Federal Student Loan Reserve Funds under section 422A to the Agency Operating Funds under section 422B.

`(B) ENTITLEMENT- A guaranty agency shall be deemed to have a contractual right against the United States to receive payments according to the provisions of subparagraph (A).'.